Israeli payments technology provider Zooz has recently moved into the financial capitals of the world, opening offices in both New York City and London.
Trade between retailers in the two cities is significant, said Nathan Jackson, vice president of business development for Zooz's European operations. The volume of trade makes it advantageous to have offices in both locations.
"If you've got a U.K. brand, the U.S. market is potentially a good market to sell into, because there's no language barrier," Jackson said. But retailers still need a provider to handle differences in payment methods and currencies, he said.
For example, a U.K. merchant expanding into the U.S. might want to add Discover card acceptance, Jackson said.
Zooz has proprietary algorithms that route transactions to the optimal acquirer. This reduces decline rates and lowers transaction costs. The company also delivers fraud management and tax collection software through a single integration point.
"The U.K. has been a strong country for many years in e-commerce with a lot of retailers moving their brick and mortar stores online," said Jackson.
In 2014, U.K. retailers handled more than 104 billion pounds in e-commerce sales, according to the Capgemini retail sales index. Jackson would not disclose how many merchant clients it has in the U.K. but said the market has tremendous momentum.
Multi-channel retailers based in the U.K. are also looking to sell throughout mainland Europe and into Asia, Jackson said.
"Starting a physical presence in the U.K. provides a stepping stone into mainland Europe for Zooz, Jackson said. While Jackson is currently running a one-man shop in London, Zooz is establishing an office in Shoreditch, an area of London known for its gritty startup scene. And the company plans on "building the team with aggression over the next few months," he said.
Currently Zooz employs 50 people mostly in Israel. In the next six months the company is looking to double its number of employees.